Homebuyer Programs in Dundalk, MD (2026)

Last updated March 28, 2026 | Population: 63,000 | Median home price: $215,000 | Est. closing costs: $4,500 - $6,500

Skyline of Dundalk, MD

Dundalk is an unincorporated community of about 63,000 residents in southeast Baltimore County, Maryland, with a median home price near $215,000, making it one of the most affordable areas in the Baltimore metro. Dundalk buyers benefit from a standout local resource: the Dundalk Renaissance Home Buyer Grant provides up to $10,000 as a forgivable loan that converts to a grant after five years of owner-occupancy, and it is not restricted to first-time buyers. The Baltimore County Settlement Expense Loan Program (SELP) offers an additional $10,000 in forgivable closing cost assistance for income-eligible first-time buyers in designated Community Conservation Areas. Combined with Maryland Mortgage Program state assistance of up to $6,000, eligible Dundalk buyers can access over $26,000 in total down payment and closing cost help — a transformative amount in a market where the typical home is well within reach.

Top Homebuyer Programs in Dundalk

Baltimore County Settlement Expense Loan Program (SELP)
Type:
Forgivable Loan
Amount:
Up to $10,000
First-time only:
Yes
FHA Loans
Type:
Government-Insured Mortgage
Amount:
Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
First-time only:
No
FHLBA Community Partners Product
Type:
Forgivable Loan
Amount:
Up to $20,000 in home purchase assistance for down payment and closing costs
First-time only:
No
FHLBA First Time Homebuyer Product
Type:
Forgivable Loan
Amount:
Up to $17,500 in home purchase assistance for down payment and closing costs
First-time only:
Yes
FHLBA Workforce Housing Plus+
Type:
Forgivable Loan
Amount:
Up to $15,000 in home purchase assistance for down payment and closing costs
First-time only:
No
Good Neighbor Next Door (HUD)
Type:
Government Property Sale Program
Amount:
50% discount off the list price of HUD-owned homes
First-time only:
Yes
Home Possible Mortgage (Freddie Mac)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HomeReady Mortgage (Fannie Mae)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HUD $100 Down Program
Type:
FHA-Financed HUD REO Purchase
Amount:
Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
First-time only:
No
USDA Rural Development Loans
Type:
Government-Guaranteed Mortgage
Amount:
100% financing (no down payment required); loan amount up to appraised value
First-time only:
No
VA Loans
Type:
Government-Guaranteed Mortgage
Amount:
No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
First-time only:
No
Dundalk Renaissance Home Buyer Grant
Type:
Forgivable Loan
Amount:
Up to $10,000
First-time only:
No
Maryland HomeAbility
Type:
Deferred Loan
Amount:
Up to 25% of the purchase price or $45,000 for down payment and closing costs
First-time only:
No
Maryland Mortgage Program - 1st Time Advantage
Type:
Deferred Loan
Amount:
Up to $6,000 or 3%-5% of the first mortgage amount
First-time only:
Yes
Maryland Mortgage Program - Flex Loan
Type:
Deferred Loan
Amount:
Up to $6,000
First-time only:
No
Maryland SmartBuy 3.0
Type:
Forgivable Loan
Amount:
Up to 15% of the purchase price or $20,000, whichever is less
First-time only:
No

How to Apply

  1. Step 1:

    Check your eligibility. The Dundalk Renaissance Home Buyer Grant does not require first-time buyer status, but you must purchase in the Dundalk area. The Baltimore County SELP requires first-time buyer status and income below 80% of the area median. Contact Dundalk Renaissance Corporation to learn about both programs.

  2. Step 2:

    Complete homebuyer education. Dundalk Renaissance Corporation is a HUD-certified housing counseling agency and offers homebuyer education classes that are accepted by county and state programs. Their classes satisfy the education requirement for SELP and Maryland Mortgage Program products. Contact Dundalk Renaissance to enroll.

  3. Step 3:

    Apply for the Dundalk Renaissance Home Buyer Grant. Contact Dundalk Renaissance Corporation for current grant availability. Grants are limited (approximately 10 per year) and awarded on a first-come, first-served basis, so apply early.

  4. Step 4:

    Get pre-approved through a participating lender. The Maryland Mortgage Program requires an approved lender who can package state and county assistance together. Ask about combining the MMP first mortgage with the SELP and Dundalk Renaissance grant for maximum benefit.

  5. Step 5:

    Check if your property is in a Community Conservation Area. SELP closing cost assistance is only available for existing homes in designated areas. Dundalk Renaissance or Baltimore County Housing at 410-887-4357 can verify whether your target property qualifies.

  6. Step 6:

    Find a home and close. Work with your lender and Dundalk Renaissance counselor to identify qualifying properties and stack all available assistance programs. Processing times vary, so start the education and pre-approval process early.

Frequently Asked Questions

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